P E R F O R M A N C E M A N A G E M E N T S T R AT E G I E S

STRATEGIC HUMAN RESOURCE

MANAGEMENT

RECENT DEVELOPMENTS

• Team or work group appraisal

• Multisource or 360 degree appraisal

• Assessment centers

• Competency based appraisal

360 DEGREE APPRAISAL

Gained popularity in 1990s. The process implies upon the fact that employee is appraised and receives feedback from supervisors, subordinates, peers, customers.

The main purpose to do such appraisal system is about understanding the behavior and performance of the employee in different roles while working in the organization.

GUIDELINES FOR 360 DEGREE APPRAISAL

• Determining the potential cost of the programme

• Focus feedback on specific goals

• Train employee giving and receiving feedback

• Ensure that feedback system is productive, unbiased and development oriented

FACTORS IMPACTING 360 DEGREE FEEDBACK

• Organizational cynicism

• Purpose of appraisal

• Anonymity

• Acceptability

• Competency of appraisers

COMPETENCIES BASED APPRAISAL

Also known as pay for performance approach. The assessments are made in terms of qualitative, developmental, future focused.

It is developed based on a given skill set of the employee and measuring the skills for a required period of time for any given task.

In case of any changes in the organization structure, economy or market, the performance of the employee is studied and checked and measured under this approach. This also helps in developing creativity in the employees.

ASSESSMENT CENTERS

It is an approach but not any sort of physical location. Here, a range of tests, exercises are simulated for the employees and they are tested in accordance to their performance in the test.

The tests depicts about the activities that they have to encounter during their job tenure. This exercises includes, in-basket training, role play, management games, psychological tests, case discussions, group discussions etc.

STRATEGIC LINKAGES TO PERFORMANCE APPRAISAL

• Organizational life cycle – inception, growth, maturity.• Competitive status of the firm – weak, strong,

stable.• Organizational strategies – value creation, value

accumulation, value maintenance.• Employee characteristics – innovative, risk taking,

long term orientation, flexibility, co-operative, efficiency.• HR strategy – focus on knowledge of employees,

harvest strategies to maintain competitive status.• Aligning performance management – qualitative

methods and quantitative methods.

QUESTIONS